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he Newsweekly 011i SPECIAL REPORT 3 -DIGIT 581 hldluhudllhuIduuIII BC199184 NOV95 REG008 N DAKOTA STATE UNIV UNIVERSITY LIBRARY FARGO, ND 58105 This is the be of a bea Men Now that our national roll -out is complete, DSSTM (Digital Satellite System) is available to people all over the United States. We've brought quality television entertainment, with access of up to 150 channels of popular programming, to markets in 48 states. And that's just the beginning. Since viewers will continue to turn to their local television stations, local broadcasters are sharing in the powerful impact of digital entertainment. Together we will service viewer's needs for a better world of television. SM EXPERIENCE DIGITAL ENTER IAINMENTsM znSSDIGITAL EAT ELUTE "Cil SYSTfh' © 1994, United States Satellite Broadcasting Company, Inc. All information subject to change. USSB is an official service mark of United States Satellite Broadcasting Company, Inc. D55" is an official trademark of DIRECTV, Inc., o unit of GM Hughes electronics. Fast Pack MUST READING FROM BROADCASTING & CABLE TOP OF THE WEEK Unbiased commission The FCC sends a letter to Fox denying allegations that the agency is biased in its investigation into allegations of foreign ownership of the network. / 6 New Year's resolution The commission is planning to consider major new policy moves at its first meeting of 1995. Among them: writing new rules for telcos carrying video (in the wake of court decisions overturning bans of telcos providing video programing in their telephone service areas) and allocating spectrum for digital audio. / 6 CBS adds shows In some network schedule moves, two of three new CBS sitcoms (from Carsey -Werner) pulled in strong numbers last week, while a third (from Shukovsky English) lagged far behind. / 8 TW eyes Cablevision Industries Time Warner is considering a deal that could boost it close behind TCI in number of subscribers. Financing on the deal has not been outlined. / 11 Fox making news move Network executives are proposing a $20 million investment to its Fox News Service to add staff and satel- lite trucks and increase feeds from one per day to five or seven. 16 PBS President Ervin Duggan and Sen. Larry / Pressler debated government funding of pub- lic broadcasting on ABC's `Nightline.' / 10 HDTV deadline extended The Grand Alliance of companies developing a high -definition transmission system said last week they will need up to two more months (beyond their own Jan. 31 deadline) to complete the prototype. / 18 COVER STORY especially those with ethnic characters. The top -rated Hispanic prime time show was Fox's Beverly Hills, 90210. / 49 broadcasting Radio making waves & cable With greater numbers of listeners spawning more Span- Spanish- language services ish- language stations, the medium now is developing are booming -in both num- new formats. Also, more and more, Hispanic radio is ber and advertiser interest. turning to the FM band. / 49 This special report begins The cable connection with an interview with Ray More Hispanic networks are Rodriguez, president /COO being developed in an effort of Univision -the top -rated to increase penetration in Hispanic Spanish- language TV net- Univision's Rodriguez out- households, now about 30 %, to work. Cover photo by Lauren lines num- his plans for the the national figure of 60 %. 50 Radack / 40 ber-one Hispanic network. / Image problem On the grow This week the first Latino Sum- A Nielsen study of Hispanic TV viewing shows that in mit will meet to develop strategy Fox's 'House of 1994, the medium's viewing universe grew 7 %, com- Buggin' is a high -pro- on how to force the TV networks pared with 1% for the overall television universe. In file Hispanic - Chemed to 51 show. / 51 addition, ad revenue for each of the two Spanish -lan- open access to Latinos. / guage networks, Univision and Telemundo, has grown PROGRAMING by 30 %. / 46 `Dove' on drawing board Viewing preferences In an effort to attract more younger viewers, Rysher A BBDO study finds that the favorite TV shows among Entertainment is retooling its `Lonesome Dove' syndi- Hispanic households include serial dramas and sitcoms, cated drama. /22 4 Jan 9 1995 Broadcasting & Cable "Why is there this small, elite group at the Corporation for Public Broadcasting that gets to spend money they didn't earn ?" -Rep. Newt Gingrich JANUARY 9, 1995 News Channel gets E! introduced to eliminate Major League Baseball's long- E! will be the exclusive supplier of entertainment news standing antitrust exemption. / 64 to NBC's affiliate news feed service. In return, the TECHNOLOGY cable channel gets access to News Channel footage for Digital construction its nightly E! News Daily. / 22 Two new cable networks, the `Stewart' moves up Game Show Network and About 20 stations are moving Paramount's Jon Stewart Home & Garden Television, Show to earlier time slots. The show also is being re- have built production /distrib- vamped in an effort to boost ratings. with /23 ution centers an eye The Game Show Network's ESPN and USA: They're basic toward the future. The serial state -of- the -art digital pro- digital facilities will be com- duction center. / 68 The sports network was the top -rated basic cable chan- patible with new advances in technology. 68 nel in prime time for fourth quarter 1994, according to / Nielsen rankings. For the year, the top honor goes to USA. /27 nE Telem CBS spending on sports `Times,' NY1 ,Afv Following its loss of NFL games, the go CD-ROM THE network spent more than $2.4 billion Newspaper and cable news last year for broadcast rights to a GREAT channel join to produce a CD- variety of events and franchises, includ- i ROM highlighting news events NETWORK ing an NCAA package and the '98 'New York Time Cap- of 1994. The deal is represen- SHIFT winter Olympics. / 30 sule': Wrapping up tative of a growing trend among 1994 on CD -ROM. 54 print and video outlets. 54 of Baltimore's WMAR -TV used ads like / this one to explain the market's DBS flying high ß'dWSytl 6pE recent affiliate switches. / 35 highlights Winter P.!!!S!n One of the of the upcoming Consum- er Electronics Show is expected to be home satellite AM fans equipment. As a number of services begin consumer advertising, interest in the new technology has sky- The latest listening survey from Statistical Research rocketed. 55 indicates that older adults are more likely to listen to / AM stations, while younger listeners prefer FM. / 62 GTE plays games w®cMtNr.ToN The telco has set up a joint venture with Nintendo to develop videogame TV dereg hot topic in Boca software for today's markets and future interactive networks. 56 The NAB board meeting later this / month in Florida will consider how VideoGuide to bypass cable it should respond to the FCC's pro- A new electronic program guide ser- MTV's Matt Farber posal to revise its TV ownership vice will be "cable independent" and and others dis- rules. Some members think the com- will transmit data to homes using cussed adapting TV properties to mission is going too far and that the paging technology. / 56 Newt Gingrich says multimedia last changes would benefit networks Congress should Setting a standard week. / 59 rather than group broadcasters. 64 open up to TV. 66 / That's what Macromedia and Online Media hope they Strikeout looming for baseball? will do with their "Author Once, Play Anywhere' inter- active authoring tools. 58 As the new Congress convenes, two hills are being / Changing Hands 60 Datebook 81 Fifth Estater 85 Classified 73 Editorials 90 For the Record 81 Closed Circuit 89 Fates & Fortunes 86 In Brief 88 Broadcasting & Cable Jan 91995 5 r FCC denies bias in Fox inquiry Action follows Quello's criticism of staff conduct in probe, Fox allegations of bias By Christopher Stem rett said. Barrett also feared Quello had In an extraordinary move, the FCC last put his own reputation in jeopardy by crit- week issued a letter asserting that its icizing his own agency's staff. investigation into Fox's ownership is un- Fox executive Preston Padden, along biased. "[T]his proceeding is being handled with Fox's outside counsel William Reyn- by the commission's staff in a fair, objective er of Hogan & Hartson, had accused the and impartial manner," the agency said in a FCC of conducting a biased investigation. letter to Fox. Two weeks ago, Fox told the commission The letter was released two days after that it would not "participate" in the ongo- Commissioner James Quello sent a letter ing investigation unless several conditions highly critical of the agency's handling of were met. the Fox investigation to Senate Commerce Padden said last week he was satisfied Committee Chairman Larry Pressler (R- James Quello that the FCC had taken action to address S.D.). Quello referred to "troublesome" and "misguid- his concerns. "We hope for a general lowering of the ed" staff decisions. rhetoric and will bend over backward to make testimo- However, Quello endorsed the agency's letter to Fox, ny and information available to the staff." saying the agency had taken corrective action. "My Eleven top Fox officials, including CEO Rupert Mur- concerns have been addressed; now let's move for- doch and Fox Television Chairman Chase Carey, are ward," Quello said in an interview last week. scheduled to be deposed by the FCC beginning Jan. 18. Commissioner Andrew Barrett said last week that he The FCC is looking into allegations that Fox misled the endorsed the letter only after language implying that commission about the extent of its Australian owner- staff had acted improperly was deleted.